> Anyone know what a stock split typically means for current shareholder value? Theoretically nothing. Example, you own 1 HN stock trading at $1000 ( total val

> Anyone know what a stock split typically means for current shareholder value? Theoretically nothing. Example, you own 1 HN stock trading at $1000 ( total value of $1000 ). HN has a stock split of 10-1. Now you own 10 HN stock trading at $100 dollars ( total value of $1000 ). Lets imagine that HN stock is popular and lots of retail investors want to buy HN stock but only 10% of retail investors can afford $1000 for 1 share. But 80% of investors can afford to pay $100 for 1 share. So you can bring in more retail into the mix by splitting the stock. Netflix and Tesla are examples of stocks that did spectacularly well after stock splits. But we are in a stock bubble and most stocks have done well so can't really credit the stock split for the boost in price. No guarantee amazon will do well. Especially if the overall market tanks, amazon will go down with the market. Berkshire class A is an example of stock that buffet refuses to split and it's trading at $500,000 per share. Fair to say that most retail investors can't afford to buy one share. Buffet did create a class B stock that has split to make it affordable for retail investors. There is also something called a reverse stock split where many stocks are converted into fewer stocks in order raise stock prices. This is sometimes done to meet with stock exchange listing rules ( minimum share price ).